O-LevelEconomicsThe allocation of resources2281/12 · Oct/Nov 2022 · Q141 Mark

Which effect of increased specialisation by firms and workers is most likely to cause problems for an economy?

Abetter product quality

Bgreater interdependence

Chigher productivity

Dimproved resource allocation

✓ Correct answer

B: greater interdependence

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Topic: The allocation of resources, O-Level Economics (syllabus 2281). Multiple choice, 1 mark.
Source: O-Level Economics, Oct/Nov 2022 Paper 1 Variant 2, question 14.

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